Northland analyst Tim Savageaux lowered the firm’s price target on Applied Optoelectronics (AAOI) to $30 from $50 and keeps an Outperform rating on the shares. Despite a significant revenue ramp, much higher operating expenses drive continued losses and the share count has “doubled since the AI Optical saga began,” the analyst tells investors in a post-earnings note. The impact of the expense base and share count on long term earnings upside are “significant,” the analyst added.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on AAOI:
- Applied Optoelectronics price target raised to $15 from $13 at B. Riley
- Applied Optoelectronics price target raised to $25 from $18 at Raymond James
- Applied Optoelectronics Reports Strong Q2 Revenue Growth
- Applied Optoelectronics reports Q2 EPS (16c), consensus (7c)
- Applied Optoelectronics sees Q3 EPS (10c)-(3c), consensus (1c)